The recent tax bill brings some significant updates that every estate planner—and anyone thinking about legacy—should understand. Here are the two most important changes that will affect your estate planning strategies.

1. The Estate Tax Exemption Will Not Decrease in 2026

Previously, the estate tax exemption amount—currently around $15 million per individual—was scheduled to drop back down to approximately $7 million in 2026. That change, often called the “sunset” provision, created uncertainty for many families planning their estates.

Thanks to the new law, that rollback no longer happens. Instead:

• The $15 million exemption, adjusted annually for inflation, will continue into 2026 and beyond.
• For married couples, the exemption doubles to about $30 million.

This means you can continue to pass on significant wealth without incurring federal estate taxes, at least under the current rules.

2. The Estate Tax Exemption Is Now Permanent—Unless the Law Changes

Another major change is the elimination of the “sunset” provision, which used to require the exemption amount to reset every five or six years.

Now:

• The exemption amount is static and permanent under current law.
• It will remain at the current level indefinitely unless Congress decides to change it.

This permanence brings stability and makes estate planning less uncertain, allowing you to plan with more confidence.

What This Means for You

If you have been worried about losing your high exemption amount or feeling pressured to accelerate gifting strategies, this new law reduces that urgency. You now have a clearer, more stable landscape for your estate planning.

Of course, tax laws can always change, so it’s wise to stay informed and consult with an estate planning professional to tailor a plan that fits your goals.

Bottom Line: The estate tax exemption remains high—$15 million per individual and $30 million per married couple—and it’s here to stay, barring future legislative changes. This is excellent news for those looking to preserve their wealth and provide for future generations.

If you want to discuss how these changes affect your specific situation, feel free to reach out. Staying ahead with smart planning is always a good idea.